Manoogian on rushed Republican handout to auto insurance companies

Friday, May 10, 2019

LANSING — With no hearings or public input, Republicans rushed through House Bill 4397 Wednesday night, providing a giveaway to insurance companies in the form of loopholes to avoid guaranteed lower rates and failing to put an end to discriminatory rate setting practices. Michigan’s auto insurance industry is one of the least regulated in the U.S. with Michigan drivers paying nearly two times more than drivers anywhere else in the nation, according to a University of Michigan study. In response, state Rep. Mari Manoogian (D-Birmingham) issued the following statement:

“This bill is full of loopholes insurance companies can take advantage of to keep rates high while completely failing to prohibit the use of discriminatory non-driving factors in rate calculations. If my Republican colleagues were truly as proud of this legislation as they would like to have us believe, they would have presented the plan to the people of Michigan in the light of day, rather than ram it through the House while the state slept. Despite this setback, I remain committed to working together to find a plan that actually guarantees the reductions and protections Michiganders deserve.”

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